Where have all the investors gone? Real estate investors now account for less than 20 percent of home buying activity, the lowest level since September 2012. And most experts agree that the share of home purchases by investors is expected to decline in the coming months. Here’s why that’s a positive development for many home buyers:
Over the past two to three years, investors have been purchasing affordable homes for use as rentals and in some cases, to fix and flip. Many investors were focusing on the lowest-priced segment of the housing market.
Investors certainly played a major role in stabilizing and helping to boost the nation’s housing market. But after two years of strong investor activity, investment property purchases are settling down. That is making it easier for the average home buyer to find a home they can afford. And with the housing recovery firmly under way and mortgage rates still near-historic lows, it’s still a great time buy! Want to learn more? Give us a call!